Monster is buying HotJobs. The news of the $225 million acquisition from Yahoo! was announced just moments ago in New York.
The deal includes a three-year agreement in which Monster will power the career channel on Yahoo’s homepage in the U.S. and Canada. Yahoo will continue to manage the 600+ newspaper advertising and content consortium it has put together over the last several years. Monster, however, will get the recruitment advertising, giving it a print and online network of more than 1,000 daily and weekly newspapers across North America.
The financial terms were not detailed in the press release, but are likely to be one of the topics to be discussed at a 2 p.m. PST conference call with financial and other analysts. That conference call was scheduled weeks ago to coincide with today’s release by Monster of its 4th quarter and 2009 annual financial results.
Monster’s financial report, released at the same time as the announcement of the HotJobs deal, shows revenue was off for the quarter by 27 percent and off 33 percent from the same periods in 2008.
For the 4th quarter, Monster lost 2 cents per share or $2.1 million. The average of analyst estimates had been a loss of a penny per share. After accounting for certain adjustments, Monster’s pro forma performance was in line with the analyst average.
For the year, Monster posted a $18.9 million profit, which translates into earnings per share of 16 cents.
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Ernest Feiteira Feb 4, 2010 at 11:23 am
A deal long time coming. Yahoo has been seeking buyers for HotJobs since Carol Bartz started in early 2009. In 2001, Yahoo struck a deal to buy HotJobs for $436m in cash and stock. The current deal values each 1,000 uniques at around $12.6K, so that establishes a starting point for valuation discussions for other site. For example, a site with 10 million uniques would be worth about $126 million.
Ten months ago I vlogged about a possible HotJobs sell, watch video: http://www.dailymotion.com/video/x92czd_is-yahoo-ready-to-sell-hotjobsy_news
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